Friday, 27 March 2015
Last updated 1 hour ago
Dec 23 2008 | 2:28am ET
It was only a matter of time. Fairfield Greenwich Group, the New York-based hedge fund firm with the most exposure of any investor to a suspected $50 billion Ponzi scheme, has itself been sued by investors.
FFG, which had more than $7.5 billion invested with Bernard L. Madoff Investment Securities—including all $7.3 billion of its Fairfield Sentry Fund—“failed to perform even a minimum level of due diligence regarding the activities of Madoff” will reaping “millions of dollars in fees,” according to the complaint filed on Friday in New York State Supreme Court.
The lawsuit, filed by New York law firm Lovell Stewart and Halebian, seeks class-action status, as do the other two Madoff-related lawsuits that have been filed since Bernard Madoff’s arrest on securities fraud charges two weeks ago. In addition to FFG, the suit names founding partners Walter Noel, Andres Piedrahita and Jeffrey Tucker, as well as Brian Francouer and Amit Vijayvergiya of an affiliate, FG Bermuda. Vijayvergiya is also FFG’s chief risk officer. The suit alleges breach of fiduciary duty, negligence and unjust enrichment.
Plaintiff’s attorney Christopher Lovell told Bloomberg News that the suit was filed in state court, rather than in federal court, because the state court proceedings cannot be put on hold. He said he would quickly serve the respondents with subpoenas and seek a document preservation order.
Mar 9 2015 | 6:35am ET
As more investors look to diversify, many are beginning to use retirement funds to invest in alternative assets such as private equity and real estate. Kelly Rodriques, CEO & President of PENSCO Trust Company, explains how companies can connect with those looking to use their retirement accounts in a different way. Read more…
Mar 20 2015 | 12:45pm ET
StreetWise Partners, a non-profit organization that works with low-income individuals to help them overcome employment barriers, raised over $275,000 at the 2015 Raising the Ante Charity Poker Tournament and Casino Event last Wednesday evening at Capitale. Here are some photos from the event. Read more…